The deadline has arrived for VAT registered businesses with an annual turnover of £85,000 or more to be Making Tax Digital (MTD) compliant.
The first step you must take is to register with HMRC for Making Tax Digital.
To do this, visit www.gov.uk, search for ‘Making Tax Digital’ and then click the link titled ‘Sign up for Making Tax Digital for VAT’. Please note, you will need your current User ID and Password to login.
Once logged in, you will be asked a series of questions relating to the software you are using and then for further details such as your UTR or company number, and if your business trades as a company.
This is the registration process, and you will then be asked to enter the same information all over again, in order to sign up. So – don’t panic if you get a sense of déjà vu!
HMRC will send a confirmation via email within 72 hours.
It is important you do this in plenty of time before your first MTD compliant VAT return is due.
Please note: This article is a commentary on general principles and should not be interpreted as advice for your specific situation.